Feb
21
Fountain Blue casino hotel could already be in trouble
Filed Under Fountain Blue Las Vegas, Las Vegas Casinos, Las Vegas Gambling, Las Vegas Hotels, Las Vegas Resorts | Comments Off
According to the Las Vegas Sun, Standard and Poors believes that the Fountain Blue hotel resort in Las Vegas could have trouble making its interest payments once it opens:
Absent condo sales, Fontainebleau will have an interest burden of about $200 million on debts of $2.9 billion, S&P said. Earnings are expected to fall short of interest payments, which could trigger a default.
S&P, which rates the bonds of major gaming operators, has slashed earnings projections for Fontainebleau along with some other gaming operators. S&P also cut the resort’s credit rating.
